Question

Check my work The market for packs of AA batteries during a typical week in Tulsa, Oklahoma is described in the table below. Market for AA Batteries in a Typical Week Quantity of Quantity of Batteries Supplied (packs) 150 130 110 90 70 50 30 Price (dollars) Batteries Demanded (packs) points $20 18 16 14 10 20 30 40 50 60 70 eBook 10 Ask Instructions: Enter your answers as a whole number. Print a. During a typical week in Tulsa, Oklahoma, what are the initial equilibrium price and quantity in the market for packs of AA batteries? References Q-50 packs In weeks when tornadoes threaten Tulsa, Oklahoma, the demand for packs of AA batteries increases as shown in the table below Market for AA Batteries in a Week with a Tornado Threat New Quantity New Quantity of Batteries of Batteries Price (dollars) $24 Demanded (packs) Supplied (packs) 20 18 16 14 10 20 30 40 50 180 160 140 120 100 80 Mc Graw Hill Prev 10 of 14 Next >
REALLY struggling with this question, PLEASE HELP!

Answer 1

a) Equilibrium price = $ 10

Equilibrium quantity = 50 packs

b) Equilibrium price = $ 12 because Qd = Qs at this price

Equilibrium quantity = 60 packs

c) will cause excess demand

d) Qd = 70 packs

Qs = 40 packs

e) Quantity demanded exceeds by quantity supplied by 70 - 40 = 30 packs of AA batteries in a week when torandoes threats Tulsa, Oklahoma.

Answer 2

Suppose that there is a market- market for AA batteries a. the initial equilibrium price and quantity in the market are $10 and 50 packs respectively because at this quantity and price, quantity demanded is equal to quantity supplied. P $10 Q- 50 packs suppose that when tornadoes threaten the place, the demand of pack increases At this point, the equilibrium price and quantity in the market are S12 and 60 packs respectively because at this quantity and price, quantity demanded is equal to quantity supplied P $12 Q 60 packs C. suppose now the leaders of city imposes the price ceiling of $10 for package of AA batteries Price ceiling is the legal maximum price at which goods are sold. If the price ceiling is above the market equilibrium price, it is ineffective/not binding and repeal to the market equilibrium price. If the price ceiling is below the market equilibrium price, it will effective/binding The price of ceiling of $10 per pack will impact the AA battery market. Because of price ceiling, quantity demanded is greater than the quantity supplied. It creates the shortage with the price ceiling of $10 per pack, quantity demanded is 70 packs and quantity supplied is 40 packs Qd-70 packs Qs-40 packs as a.result of price quantity, quantity demanded is 70 packs and quantity supplied is 40 packs. This means quantitv demanded exceeds quantity supplied by 30 packs70 -40) of AA batteries in a week. Thus, option cis correct